News Corp resolves Murdoch family trust litigation

News Corp (NASDAQ: NWS, NWSA) announced that the trustee and beneficiaries of the Murdoch Family Trust have reached a resolution of legal proceedings in Nevada, resulting in the termination of all litigation.

Under the agreement, new trusts will be established for Lachlan Murdoch, Grace Murdoch and Chloe Murdoch. Prudence MacLeod, Elisabeth Murdoch and James Murdoch will cease to be beneficiaries in any trust holding News Corp or Fox Corporation shares.

The departing beneficiaries will receive cash consideration funded partly through the sale of approximately 14.2 million shares of News Corp Class B common stock and approximately 16.9 million shares of Fox Corporation Class B common stock previously held by the family trust.

Following the transactions, LGC Holdco, owned by the remaining beneficiary trusts, will own approximately 33.1% of News Corp's Class B common stock and less than 0.1% of News Corp's Class A common stock. The entity will also hold approximately 36.2% of Fox Corporation's Class B common stock and less than 0.1% of Fox Corporation's Class A common stock.

The departing beneficiaries must sell their personal holdings in both companies within six months and are subject to a standstill agreement preventing them from acquiring shares or taking certain actions regarding the companies.

The remaining beneficiary trusts will have a term until 2050, with voting control of the shares resting solely with Lachlan Murdoch through his appointed managing director role. Rupert Murdoch will continue as Chairman Emeritus of News Corp.

The information is based on a company press release statement.

You May Also Be Interested In

• SpaceX files for 555.56M share IPO at $135/sh
• 3 E Network Technology (MASK) files for 17.13M share offering by selling stockholders
• FG Merger II sets stockholder vote on BOXABL merger for June 9